In August, the Chinese epoxy resins market continues to rise slightly in stability

July 31st News

July is traditionally a slow season for demand. Some downstream industries experienced a slight decline in production due to high temperatures, and overall purchasing enthusiasm remained moderate, mainly maintaining rigid demand procurement. However, strong orders from the downstream wind power industry provided support for epoxy resin prices. In the latter part of the month, epoxy resin quotations slightly increased, but downstream buyers showed little willingness to follow suit, resulting in insufficient actual demand. As a result, companies mainly maintained stable pricing.

On the supply side, in late August, a 150,000-ton/year plant in Qingdao Gulf began trial production, with current operating load maintained at a low level. During the month, Nantong Xingchen conducted plant maintenance, and some enterprises had short-term shutdowns or reduced loads. According to statistics, the average operating load rate of the liquid epoxy resins industry in China was around 60% during the month. The market's spot supply remains relatively abundant, and the market supply and demand situation is weak.

Bisphenol A market continues to decline due to relatively ample supply and insufficient demand support, with no positive support expected in August. The supply of epichlorohydrin has increased, and some companies are offering discounts to sell, leading to a downward trend in market quotes, and the cost support for epoxy resins has weakened.

The epoxy resin market is expected to see a slight upward trend. Supply is anticipated to decline slightly, as enterprises such as Balingshihua, Changchun Panjin, and Anhui Hengxing are scheduled for maintenance in August. Demand is expected to remain relatively unchanged compared to July. Overall, spot supply in August is likely to remain relatively abundant, with manufacturers flexibly adjusting sales based on their own orders and inventory levels. Some companies have wind power orders supporting their prices, which may remain relatively stable, while others may follow price adjustments at a slower pace. The price of epoxy resins in August is expected to rise slightly, with the projected range being approximately 13,400-14,500 CNY/ton.